Taxpayers’ Ombudsperson François Boileau is calling for simplified, automated tax filing systems as his office grapples with a surge in complaints in comparison to the last three fiscal years.
The report outlines seven recommendations meant to improve CRA services. The report references Prime Minister Mark Carney’s directive to reduce government spending on daily operations, noting that reforming CRA services would cut costs.
One way to do that, Boileau said, is by allowing Canadians to request a callback without calling a centre first.
“The CRA needs to fast-track automation to not only deliver cost savings, but also ensure it is reducing delays to deliver the service taxpayers expect,” the report reads. It adds that another way to do that would be to expand its live online chat service.
Boileau told reporters it should be open to everybody with “a simple tax situation,” not just those with low incomes. An example would be a retired senior on a fixed income, he said.
Boileau told reporters the CRA’s effort to introduce automatic tax filing could be hindered by the size and complexity of the Income Tax Act.
“It’s completely nuts,” he said. “There are so many credits. The complexity of it all is amazing and not necessarily positively. Maybe it’s time to streamline a little bit.”
Boileau said Budget 2025 represented “a good step” in the direction of simplified tax filing, but said Ottawa should consider doing “a little bit more.”
A National Revenue spokesperson said in a media statement that expanding automatic tax filing will enable Canadians to access benefits, while protecting confidential taxpayer information and promoting tax equity.
Ottawa’s demand that the CRA implement a 100-day plan aimed at improving services for Canadians last fall demonstrated the federal government’s commitment to improving Canadians’ interaction with the tax system, the spokesperson said.
Boileau said the 100-day improvement plan has energized the CRA, prompting it to carry out several recommendations previously made by his office, including a callback program. He said this approach shifted the usual accountability from politicians to the bureaucrats themselves.
He said he is recommending the CRA continue that trend with monthly or quarterly reporting from the agency on how its processing times align with service standards.
Boileau also said the CRA could improve its use of AI chatbots for addressing taxpayers’ questions on the internet. He emphasized the importance of using AI, but also ensuring that human agents continue to make decisions related to Canadians’ tax accounts
“Whether I like it or not, it’s the way of the future,” Boileau said. “If it can help contact centre agents to have a better understanding of the issue at hand and what has been said consistently with other similar situations, that might be helpful.”
His office is also urging the CRA to actively involve key stakeholders who might be affected or who could offer valuable insights to guide the development of digital improvements or modifications that directly influence taxpayer services.
